Flipkart-backed Shadowfax Technologies files for Rs 2,500 crore IPO

Shadowfax aims for Rs 8,500 crore valuation after reducing losses by 92 per cent; IPO proceeds to fund capacity expansion and network investments

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Shadowfax Technologies Ltd, a logistics firm backed by Flipkart, has filed a confidential draft red herring prospectus with market regulator Securities and Exchange Board of India (SEBI) for an initial public offering (IPO), according to people familiar with the matter.

 

The offering is expected to raise between Rs 2,000 crore and Rs 2,500 crore through a combination of fresh issuance and an offer for sale by existing shareholders. The IPO could value the company at around Rs 8,500 crore, the people said. This represents a significant premium to its February 2025 funding round valuation of approximately Rs 6,000 crore, reflecting investor confidence in the logistics sector’s growth prospects. 

 

In its last fundraise in February 2025, the company raised primary and secondary capital at an approximate valuation of Rs 6,000 crore.

 

The company plans to utilise the proceeds from the fresh issue towards enhancing capacity, driving growth, and further investments in its network business, according to sources.

 

The e-commerce segment is the major revenue contributor, accounting for around 75 per cent of the business, positioning Shadowfax to benefit from India’s booming online retail sector. The remainder comes from quick commerce and hyperlocal deliveries.

 

Shadowfax is backed by marquee investors such as Flipkart, TPG, Eight Roads Ventures and Mirae Asset Ventures.

 

The IPO filing comes as Shadowfax is tapping the Indian logistics market, valued at Rs 9 trillion in FY23, which is projected to grow significantly, reaching Rs 13.4 trillion by FY28, registering a compound annual growth rate (CAGR) of 8–9 per cent, according to a recent report by Motilal Oswal.

 

This growth is being fuelled by structural shifts, technological advancements, and government initiatives aimed at reducing logistics costs and improving infrastructure.

 

With a robust distribution network covering over 2,200 cities and more than 14,300 PIN codes, Shadowfax has established itself as one of the leading firms in the logistics industry, analysts say. 

 

But it faces competition from several logistics and delivery companies in India, including Delhivery, XpressBees, Ecom Express, Blue Dart, and Shiprocket. These companies operate in similar spaces, offering express delivery, e-commerce logistics, and hyperlocal delivery services, with some like Delhivery already public and others exploring similar IPO paths.

 

Founded in 2015 by Abhishek Bansal, Vaibhav Khandelwal, Praharsh Chandra, and Gaurav Jaithliya, the Bengaluru-based Shadowfax Technologies counts more than 1.25 lakh monthly active delivery partners. It has raised $247 million in funding to date, according to data provider Tracxn.

 

Eight Roads Ventures holds the largest external stake at about 25 per cent, followed by Flipkart at 15.6 per cent, according to Tracxn. Other backers include NGP and Mirae Asset, while the founding team retains a combined 20 per cent stake.

 

The company reported a 33.2 per cent rise in revenue to Rs 1,885 crore in fiscal 2024 and narrowed its losses sharply to Rs 11.8 crore, down nearly 92 per cent from the previous year.